There is growing evidence showing that large and small banks differ in how they service retail customers. Large, multi-market banks (LMBs) have more standardized operations and set interest rates that are uniform across local markets, while small banks have greater autonomy to set rates...

This paper studies the effect of securitization on bank lending. I propose a new index of “securitizability of a bank portfolio” that can be thought of as a weighted average of the potential to securitize loans of a given type, where the weights reflect the composition of a bank loan...

Recent theory papers by Diamond and Rajan (2000, 2001) and others suggest that banks with higher capital ratios may create less liquidity because capital diminishes financial fragility and/or “crowds out” deposits. Other contributions suggest the opposite outcome: banks with higher capital...